Hawaiian Telcom Holdco Inc. said Thursday that it is acquiring Honolulu-based data center services provider SystemMetrics Corp. in a deal worth about $16 million, subject to customary working capital adjustments and earn-out provisions.

SystemMetrics, which currently generates about $8 million in annual revenue, provides enterprise-class colocation and cloud computing services for small, medium and large businesses out of its 6,500-square-foot data center in Honolulu.

Hawaiian Telcom (Nasdaq: HCOM) estimates the transaction will be complete by Sept. 30. SystemMetrics will become a wholly-owned subsidiary of Hawaiian Telcom Services Co. Inc., and all of its 11 employees will remain in place, Hawaiian Telcom said in a statement.

“With this transaction we reach a significant milestone for SystemMetrics as we join Hawaiian Telcom with a shared vision to transform and accelerate data center services in Hawaii,” SystemMetrics President and CEO Earl Fordsaid in a statement. “Hawaiian Telcom’s significant resources and commitment to strengthen its position in the data center market, and demonstrated success in serving the technology needs of Hawaii’s business community makes it an ideal match for us.”

“Our goal is to be the preeminent cloud and colocation services provider in the state of Hawaii, and this acquisition significantly advances that objective by increasing the scale and scope of our existing data center business and improving time to market,” he said. “Additionally, it complements our existing portfolio of business service offerings and better positions us to execute on our overall strategic plan and drive value for shareholders.”

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